LONDON – 5 February 2020 – AkinovA, the electronic marketplace for the transfer and trading of re/insurance risk, was the marketplace of choice for another first of its kind cyber risk product that was completed on 30 January 2020. 

Due to the growing dependencies on international Cloud Service Providers (CSP) such as Amazon Web Services, Microsoft Azure, and Google Cloud Platform, global corporations are looking for ways to transfer elements of these risks.

An Asian based technology company purchased the parametric Cloud Outage product to get protection in the event a named Cloud Service Provider suffers an outage. The company’s exposure to the Cloud Service Provider in question was deemed sufficient to warrant such an insurance product as any interruption to their ability to access proprietary data located on the cloud (for a defined period of time) would have an impact on their business. The cover buyer was represented on the marketplace by Guy Carpenter, a leading global risk and reinsurance specialist and a business of Marsh & McLennan Companies.

The term of the parametric product was set at 3 months to enable the cover buyer to dynamically review their risk exposure to the Cloud Service Provider on a quarterly basis. The trade was carried out using a standardised insurance contract similar to the one used to complete the first cyber trade on the AkinovA Marketplace in December 2019. This trade was transacted on the AkinovA Marketplace with full regulatory oversight from the Bermuda Monetary Authority (BMA), under AkinovA’s Insurance Regulatory Sandbox licence.

Hiscox, a leading specialist re/insurer, again played an important role in developing, structuring, and providing capital for this innovative transaction. 

PCS, a Verisk business, will report on the named perils of the contract as originally reported by the Cloud Service Provider. 

AkinovA is regulated by the BMA and welcomes sophisticated participants to join its marketplace. Participants may come from a wide range of backgrounds including Bermuda licenced insurers or brokers, Lloyds’ syndicates, listed entities, and members of groups which are rated A- or better by AM Best, S&P or Fitch and/or A3 or better by Moody’s.  This also includes funds and collective investment schemes regulated in Bermuda, Cayman Islands, Guernsey, Jersey, Switzerland, United Kingdom, Ireland, Singapore, Japan, Hong Kong South Korea and any State of the United States of America.  Depending on the circumstances it is also possible to obtain prior written approval from the Bermuda Monetary Authority for AkinovA to provide marketplace services to market participants not falling within these requirements.

If you would like to find out more about AkinovA or how you can join the AkinovA Marketplace, please email Enquiries@AkinovA.com.

About AkinovA AkinovA 

is an independent electronic marketplace for the transfer and trading of re/insurance risk which is regulated in Bermuda. The marketplace is a regulated electronic environment where insurance and reinsurance risks can access new sources of capacity as well as increase the efficiency of transferring and trading re/insurance risks in the primary and secondary markets. AkinovA also offers re/insurance service providers an additional channel to share their models, data and expertise with market participants. AkinovA is working with the existing re/insurance value chain to grow the overall market.

For more information, please go to: www.AkinovA.com, email Enquiries@AkinovA.com or phone +44 (0)20 8012 8172

About The Hiscox Group

Hiscox is a global specialist insurer, headquartered in Bermuda and listed on the London Stock Exchange (LSE:HSX). Our ambition is to be a respected specialist insurer with a diverse portfolio by product and geography. We believe that building balance between catastrophe-exposed business and less volatile local specialty business gives us opportunities for profitable growth throughout the insurance cycle. It’s a long-standing strategy which in 2018 saw the business deliver a profit before tax of $137.4 million in a challenging year for insurers.

The Hiscox Group employs over 3,300 people in 14 countries, and has customers worldwide. Through the retail businesses in the UK, Europe, Asia and the US, we offer a range of specialist insurance for professionals and business customers as well as homeowners. Internationally traded, bigger ticket business and reinsurance is underwritten through Hiscox London Market and Hiscox Re & ILS.Our values define our business, with a focus on people, ownership, courage and integrity. We pride ourselves on being true to our word and our award-winning claims service is testament to that. 

For more information, visit www.hiscoxgroup.com.

About Guy Carpenter

Guy Carpenter & Company, LLC is a leading global risk and reinsurance specialist with more than 3,100 professionals in over 60 offices around the world. Guy Carpenter delivers a powerful combination of broking expertise, trusted strategic advisory services and industry-leading analytics to help clients adapt to emerging opportunities and achieve profitable growth. Guy Carpenter is a business of Marsh & McLennan Companies (NYSE: MMC), the world’s leading professional services firm in the areas of risk, strategy and people. The company’s 75,000 colleagues advise clients in over 130 countries. With annualized revenue approaching $17 billion, Marsh & McLennan helps clients navigate an increasingly dynamic and complex environment through four market-leading companies including Marsh, Mercer and Oliver Wyman. 

For more information, visit http://www.guycarp.com and follow Guy Carpenter on LinkedIn and Twitter @GuyCarpenter. 

About Verisk 

Verisk (Nasdaq:VRSK) is a leading data analytics provider serving customers in insurance, energy and specialized markets, and financial services. Using advanced technologies to collect and analyze billions of records, Verisk draws on unique data assets and deep domain expertise to provide first-to-market innovations that are integrated into customer workflows. Verisk offers predictive analytics and decision support solutions to customers in rating, underwriting, claims, catastrophe and weather risk, global risk analytics, natural resources intelligence, economic forecasting, and many other fields. Around the world, Verisk helps customers protect people, property, and financial assets. Headquartered in Jersey City, N.J., Verisk operates in 30 countries and is a member of Standard & Poor’s S&P 500® Index. In 2018, Forbes magazine named Verisk to its World’s Best Employers list.

For more information, please visit www.verisk.com